In a statement released on Wednesday, APRA said it would temporarily beef up its reporting requirements for funds “to enable assessment of the impact of COVID-19 on the superannuation industry and the outcomes being delivered to members”.
Funds would now be required to submit monthly data around how many members had been given intra-fund advice related to early release payments, as well as the number of member accounts that had had their insurance cancelled due to account closure or insufficient funds to pay premiums.
In addition, monthly reporting would also include the number of insurance claims that were received, awaiting determination and finalised each month, the number of fraud incidents flagged and whether funds’ fraud risk profiles had changed during the month.
Funds would also face questions around their operational resilience and whether any key business activities had been disrupted as a result of the crisis.
A further quarterly reporting template would also require funds to disclose data around their investment options, foreign currency hedging and member switching.
The news comes following recent questioning from House economics committee member Tim Wilson around the resilience of industry funds’ investment strategies in the face of the COVID crisis and calls for a review of the sector.
APRA – whats the % of Members that actually get Intra Fund Advice ? (Generally, not just about Early Release.
[b]Conversely whats the % and total number of members that are Paying FEES FOR NO SERVICE ???????????[/b][b][/b]
Keep beating the drum….meanwhile totally ignore the crimes committed by the majors.
I think the Majors are paying the heavy price for their fees for no service issues. And running away from advice as fast as possible. And so they should.
In the mean time, Industry Super is doing a wonderful job of ripping off members via Advice Fees for No Service but their mates APRA and ASIC allow it to happen.
And the Industry Funds who have piled crap on Advisers for 20 years now want to expand their Advice networks. That are vertically integrated, don’t provide Best Interest Advice as it’s only for selling their own industry funds and all the while charge most members Advice fees that they don’t use.
Sounds fair doesn’t it. Great freaking Industry fund scam they are happily running.
Lets get some clarity around the APRA investigation.
Is the Intra Fund advice scrutiny only in relation to the early release of superannuation process and not the everyday Intra Fund advice process provided to members regarding a broad variety of member enquiry ?
If it is limited to the early release processes and not the significant issues with Intra fund advice as a whole, it will be a waste of time.
It could well be just a token attempt to show that Intra Fund advice is being investigated, but in reality, only on a superficial basis.
AustralianSuper refuses to give Early Release Advice to members as Intra Fund Advice regardless of Govt rules to allow this. They also refused to provide Early Release Advice for the Govt $300 fee.
AustralianSuper only advice was generic info or full $2,500 advice, for Early Release.
Nice job from Australia’s largest super fund – cause we’re all in this together, unless you want advice about Early release and then get stuffed we won’t help.
Vertical integration at Industry Super is working well then hey! Retain FUM at all costs.
“But we will still charge you an Intra Fund advice fee levied for all members”.
Maybe they just didn’t want to touch it, as they new in most cases it would have been advising them not to do it. Would you provide advice for $300?